<ul data-eligibleForWebStory="true">Microsoft announces layoffs in the Xbox division affecting over 9,000 employees.Cuts include shutting down projects like The Initiative, Rare's Everwild, and Zenimax's game.Generative AI tools play a significant role in companies like Microsoft, Sony, and Epic Games.Legal battles and controversies surround the use of generative AI in the gaming industry.Audiobook sales rise, while gaming media sees changes with Gamurs, The Escapist, and Kotaku.